The Singapore government is reviewing current health insurance schemes. The review indicated a rise of hospital bills and health insurance claims and needs to strike a balance between adequate coverage and cost control.
According to the Insurance Asia, Singapore government is reviewing the current health insurance schemes: (1) MediShield Life for all Singaporean citizens provided by the government and (2) Integrated Shield Plans (IPs) and riders provided by private insurance companies. The review aimed at ensuring adequate financial protection, preventing buffet syndrome, and controlling rising health care costs from unnecessary treatment.
The review raised the need to increase MediShield Life claim limits to response a rise of hospital and outpatient bills while controlling premium hikes. In addition, the review indicated cost escalating of health insurance claims. The government urged for strike a balance between adequate coverage and cost control.
“I think we may be in a health insurance vicious cycle, of overly generous insurance policy design, buffet syndrome leading to more non-critical or even unnecessary tests and treatments being prescribed, which in turn leads to bigger bills and higher premiums for all. We are chasing after our own tail, and everyone is just getting worse off eventually,” Ong Ye Kung, Minister for Health, said.
In addition, the government urged private insurers to offer more sustainable policies and educate consumers on making informed choices about their insurance needs.
